"It provides us a corridor into the city in exchange for us undertaking the work on the bulk of the works and alignment of Verita Road," he said.

"It allows the city to access Commonwealth funds to have Verita Road built, so we think it's a great outcome for everybody."

He says all governmental and environmental checks have been approved.

"Lots of long-term benefits, particularly the pipeline getting into Geraldton - it's buried - no noise, no dust, no vibration ," he said.

"So it quietly delivers a lot of product into the port and we think that's a good match for the Geraldton Port."

Construction of the road is expected to start in April.

Mayor Ian Carpenter says Asian Iron will pay for the earthworks component of the road, which is a benefit to ratepayers.

"They will do the earthworks for Verita Road for the concession of being able to put the pipeline down in the centre corridor," he said.

"Verita Road will eventually be a two-lane road and there will be a section down the middle where the pipeline will be laid, so it's not going to cause any issue in terms of impact on the community at all."

Councillor Carpenter says the deal will allow construction of the road to be fast-tracked.

He says the Verita Road will serve Geraldton's southern suburbs and has been 35 years in the planning.

"We expect that there will be a long-term lasting legacy for the people of our community and I must say that the proponents have been very, very good in their negotiations," he said.

"They obviously need an area to put a pipeline through, we've been able to provide a solution and there's been a real benefit to the community as a result of those negotiations."